SBI associate banks staff to go on strike on Friday against merger

A section of employees of five associate banks of SBI has threatened to go on strike tomorrow against their proposed merger with parent.  

PTI| Last Updated: May 19, 2016, 17:34 PM IST
SBI associate banks staff to go on strike on Friday against merger

New Delhi: A section of employees of five associate banks of SBI has threatened to go on strike on Friday against their proposed merger with parent.

Earlier this week, SBI proposed merger of five associate banks and newly created Bharatiya Mahila Bank with itself.

"Despite opposition and protest by all the AIBEA's Workman Directors and few other independent Directors, about the proposal and the procedure adopted, the resolution was approved in this regard.

"We also call upon all our members in the 5 Associate Banks to observe protest strike on May 20," All India Bank Employees' Association (AIBEA) said in a statement.

Most of the associate banks have informed customers about banking operation to be hit due to strike call given by State Sector Bank Employees Association (SSBEA), an associate of AIBEA.

Among the associates, State Bank of Hyderabad is the largest with over 1,800 branches followed by State Bank of Bikaner and Jaipur with 1,350, State Bank of Patiala with 1,300, State Bank of Travancore with 1,200 and State Bank of Mysore with 1,050 branches as of end December.

Meanwhile, All India Bank Officers' Association (AIBOA) has requested the government not to give a go-ahead to SBI's proposal to merge its five associate banks.

"AIBOA, in its confirmed opinion, keeping in mind the banking expansion, as 52 percent of population of the country is not having access to banking facilities, demands the government not to give consent to proposal mooted by SBI management," the union said in a statement.

The union claimed that the move will deny customers the choice to deal with a particular bank and may also defeat the purpose of financial inclusion.